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September 12, 2016

The IRS just finalized a proposal to allow defined benefit (DB) participants to take their retirement benefits as a combination of an annuity (traditional regular monthly payments) and a lump sum. this change in IRS policy allows much more flexibility for DB retirees. Read the details in the Journal of Accountancy.

The
IRS believes plan participants are better served against the
possibility that they will outlive their retirement benefits when they
can choose to bifurcate their benefits between the two options. - See
more at:
http://www.journalofaccountancy.com/news/2016/sep/defined-benefit-plan-split-distributions-201615151.html#sthash.M0ZlifIM.dpuf

The
IRS believes plan participants are better served against the
possibility that they will outlive their retirement benefits when they
can choose to bifurcate their benefits between the two options. - See
more at:
http://www.journalofaccountancy.com/news/2016/sep/defined-benefit-plan-split-distributions-201615151.html#sthash.M0ZlifIM.dpuf

The
IRS believes plan participants are better served against the
possibility that they will outlive their retirement benefits when they
can choose to bifurcate their benefits between the two options. - See
more at:
http://www.journalofaccountancy.com/news/2016/sep/defined-benefit-plan-split-distributions-201615151.html#sthash.M0ZlifIM.dpuf

Defined
benefit plan participants will have greater flexibility in choosing how
to receive their pension benefits under final regulations issued by the
IRS (T.D. 9783). The regulations finalized proposed rules issued in
2012 that permit participants to elect to receive split benefits of
monthly annuity payments together with a lump-sum payout without
disqualifying the plan. The IRS believes plan participants are better
served against the possibility that they will outlive their retirement
benefits when they can choose to bifurcate their benefits between the
two options. - See more at:
http://www.journalofaccountancy.com/news/2016/sep/defined-benefit-plan-split-distributions-201615151.html#sthash.M0ZlifIM.dpuf

Defined
benefit plan participants will have greater flexibility in choosing how
to receive their pension benefits under final regulations issued by the
IRS (T.D. 9783). The regulations finalized proposed rules issued in
2012 that permit participants to elect to receive split benefits of
monthly annuity payments together with a lump-sum payout without
disqualifying the plan. The IRS believes plan participants are better
served against the possibility that they will outlive their retirement
benefits when they can choose to bifurcate their benefits between the
two options. - See more at:
http://www.journalofaccountancy.com/news/2016/sep/defined-benefit-plan-split-distributions-201615151.html#sthash.M0ZlifIM.dpuf

Defined
benefit plan participants will have greater flexibility in choosing how
to receive their pension benefits under final regulations issued by the
IRS (T.D. 9783). The regulations finalized proposed rules issued in
2012 that permit participants to elect to receive split benefits of
monthly annuity payments together with a lump-sum payout without
disqualifying the plan. The IRS believes plan participants are better
served against the possibility that they will outlive their retirement
benefits when they can choose to bifurcate their benefits between the
two options. - See more at:
http://www.journalofaccountancy.com/news/2016/sep/defined-benefit-plan-split-distributions-201615151.html#sthash.M0ZlifIM.dpuf